Canadian uranium giant Cameco Corp. is acquiring control of the Millennium project in Saskatchewan by buying out combined venture partner Areva SA for $150-million.The all-cash deal for Areva’s 27.94% stake in Millennium boosts Cameco’s in general interest to 69.9%. The third partner on the project is JCU (Canada) Exploration Ltd., which has to refuse its right of refusal for the deal to proceed.
“This agreement gives Cameco majority ownership of Millennium and additional strengthens our base of uranium assets in the Athabasca Basin consistent with our growth strategy,” Cameco chief executive Tim Gitzel said in a statement.Millennium is a talented exploration project at which the companies have recognized 50.9 million pounds of indicated uranium resources, and another 16.7 million pounds of inferred resources.
The sale comes less than three months behind Areva, the French nuclear giant, and announced plans to sell more than €1.2-billion of assets. There were rumours that at least a few of its Canadian assets could be on the block. The company is in the midst of a big renovation as it adapts to the post-Fukushima nuclear sector, and just took a €1.46-billion write down on its 2007 acquisition of Canadian miner UraMin Inc.
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